Boeing had more cancellations than orders in 2019 as 737 Max crisis deepens
The high rate of cancellations is the latest sign that the crisis surrounding the 737 Max — the airplane involved in two fatal crashes that took the lives of 346 people — is continuing to affect Boeing’s bottom line. Its order book for the troubled jet shrank by 183 planes — though much of that had to do with some low-cost overseas airlines, like India’s Jet Airways and Vietnam’s VietJet, going bankrupt. But thanks to ongoing problems getting the 737 Max certified, there wasn’t enough demand to make up the losses.
Meanwhile, American Airlines extended its cancellations for the 737 Max until June 4th, after previously targeting April 7th. The carrier has pushed the date back multiple times as Boeing continues to struggle to get approval from regulators to greenlight the 737 Max.
The Federal Aviation Administration ordered the grounding of all Boeing 737 Max jets after two deadly crashes in October 2018 and March 2019. Both crashes have been linked to a piece of software that Boeing had installed on the 737 Max known as the Maneuvering Characteristics Augmentation System, or MCAS.